March 31 Pacific Investment Management Co. has
been removed as the subadvisor of two bond funds totaling $3.7
billion offered by ING U.S. Investment Management, though the
decision by ING had been made late last year ahead of a
management shakeup at Pimco, according to a regulatory filing
with the SEC.
An ING spokeswoman told Reuters on Monday that the board of
the ING Funds in October approved the merger of ING Pimco Total
Return Bond Portfolio into the ING Intermediate Bond Portfolio.
The merger closed on March 21, the spokeswoman added.
The board also approved in October a change to the
subadvisor for ING PIMCO High Yield Portfolio as well as a
change to its name and investment strategy, she said.
Effective Feb. 4, the portfolio was renamed ING High Yield
Portfolio and has since been subadvised by ING Investment
Management Co. LLC. The ING Intermediate Bond Portfolio will
also be managed internally, the spokeswoman said.
"These actions were designed to consolidate overlapping ING
Funds into those with similar or compatible investment
strategies and were determined to be in the interest of
shareholders by a majority of the Board after a review of
several factors," the ING spokeswoman said.
(Reporting by Jennifer Ablan; Editing by Bernadette Baum)